NASDAQ$GILD

Gilead Sciences Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Reported a 16% year-over-year increase in product sales, driven primarily by Veklury.

Gilead Sciences reported a strong first quarter in 2021, with total revenue increasing by 16% to $6.4 billion. This growth was primarily driven by sales of Veklury, along with contributions from Cell Therapy products and the U.S. launch of Tecartus. The company also saw growth in its Hepatitis B virus (HBV) segment with Vemlidy.

  • Total first quarter revenue increased 16% year-over-year to $6.4 billion.
  • Diluted EPS increased 12% to $1.37, while non-GAAP diluted EPS increased 24% to $2.08.
  • HIV product sales decreased 12% to $3.7 billion, impacted by loss of exclusivity of Truvada and Atripla in the U.S.
  • Veklury sales were $1.5 billion, influenced by COVID-19 infection rates, hospitalizations, and vaccinations.

Headline financials

Total Revenue

$6.42B

Previous: $5.55B+15.8%
EPS (adj)

$2.08

Previous: $1.68+23.8%
Product Gross Margin

78.5%

Previous: 82.3%-4.6%
Capital Expenditures

-$165M

Previous: -$171M+3.5%
Free Cash Flow

$1.56B

Previous: $1.38B+13.3%
Net Income

$1.73B

Previous: $1.55B+11.5%
Operating Income

$2.89B

Previous: $2.4B+20.3%
Gross Profit

$5.06B

Previous: $4.58B+10.5%
Cash & Equivalents

$4.07B

Previous: $24.3B-83.3%
Total Assets

$67.5B

Previous: $59.7B+13.0%
Stock-Based Comp

$139M

Previous: $141M-1.4%

Revenue & EPS history

Gilead Sciences · Revenue · Quarterly

$6.42B

Q1 2021+15.8%vs Q1 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

Gilead Sciences · $6.14B total across 3 segments · Q3 2023

  • HIV
    $4.67B+4.0%
  • Oncology
    $769M+327.2%
  • Liver Disease
    $706M

Forward guidance

Gilead expects the COVID-19 pandemic to continue impacting its business, with a more gradual recovery starting in Q2 2021. Veklury sales will remain volatile and uncertain. Full year 2021 product sales excluding Veklury are expected to be between $21.7 billion and $22.1 billion. Full year Veklury sales are projected to be between $2 billion and $3 billion. Total product sales for 2021 are expected to be between $23.7 billion and $25.1 billion. Non-GAAP earnings per share for 2021 are projected to be between $6.75 and $7.45. GAAP earnings per diluted share for 2021 are now expected to be between $4.75 and $5.45.

Tailwinds

  • Full year product sales excluding Veklury between $21.7 billion and $22.1 billion.
  • Full year Veklury sales between $2 billion and $3 billion.
  • Total product sales for 2021 between $23.7 billion and $25.1 billion.
  • Non-GAAP earnings per share for 2021 between $6.75 and $7.45.
  • Collaboration with Merck to develop and commercialize long-acting HIV therapies.

Headwinds

  • COVID-19 pandemic continues to impact business and market dynamics.
  • Sales of Veklury subject to significant volatility and uncertainty.
  • Potential adverse revenue impacts from COVID-19.
  • Increases in R&D expenses.
  • Uncertainties related to the development, manufacturing, and distribution of Veklury.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2021

Historical avgQ1 2021

+0.2%

Avg return

Earnings day

-0.2%

Avg return

5 days after

-0.4%

Avg return

30 days after

44%

32 / 73 earnings

Positive

+11.9%

Q3 2022

Best reaction

-12.4%

Q1 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.5%-1.5%-3.4%
Q4 2025+5.8%+5.3%-1.5%
Q3 2025+3.1%+3.5%+6.2%
Q2 2025+8.3%+8.9%+4.3%
Q1 2025-2.8%+0.4%+1.1%
Q4 2024+7.5%+8.3%+15.9%
Q3 2024+8.5%+7.5%+2.1%
Q2 2024-0.5%-0.0%+6.4%
Q1 2024-2.5%-2.8%-2.1%
Q4 2023-3.0%-4.0%-4.0%
Q3 2023-4.0%-6.4%-3.8%
Q2 2023+4.0%+5.8%+1.3%
Q1 2023-1.8%-3.9%-7.9%
Q4 2022+0.6%+2.4%-3.5%
Q3 2022+11.9%+12.0%+21.8%
Q2 2022+4.5%+2.5%+9.0%
Q1 2022-3.7%-2.0%+5.2%
Q4 2021-4.2%-7.0%-10.1%
Q3 2021-2.8%-1.3%+5.2%
Q2 2021-2.5%-0.3%+1.7%
Q1 2021-1.5%+1.9%+2.6%
Q4 2020+6.1%+4.3%+0.2%
Q3 2020-2.5%-2.5%+0.0%
Q2 2020-4.8%-2.9%-10.6%
Q1 2020-3.8%-4.8%-6.4%
Q4 2019-0.7%+3.8%+14.7%
Q3 2019-4.9%-4.7%-2.0%
Q2 2019-3.5%-4.3%-6.1%
Q1 2019+3.5%+2.4%-4.0%
Q4 2018-3.4%-3.7%-10.2%
Q3 2018+2.5%+5.9%-2.1%
Q2 2018+0.7%-1.7%-5.2%
Q1 2018-7.4%-9.4%-6.7%
Q4 2017+5.6%+1.2%+2.2%
Q3 2017-3.5%-6.2%-9.3%
Q2 2017+1.7%+3.2%+0.1%
Q1 2017-1.3%-0.5%-5.1%
Q4 2016-7.7%-8.3%-5.5%
Q3 2016-1.5%-1.6%-1.1%
Q2 2016-6.4%-8.2%-7.0%
Q1 2016-12.4%
Q4 2015+2.8%
Q3 2015-0.5%
Q2 2015+4.7%
Q1 2015+2.6%
Q4 2014-7.3%
Q3 2014-1.7%
Q2 2014+1.4%
Q1 2014+3.2%
Q4 2013-0.9%
Q3 2013+5.7%
Q2 2013+4.5%
Q1 2013+10.0%
Q4 2012-0.0%
Q3 2012+3.0%
Q2 2012+8.4%
Q1 2012-0.8%
Q4 2011+1.6%
Q3 2011+0.4%
Q2 2011-1.6%
Q1 2011+0.4%
Q4 2010-1.1%
Q3 2010-1.2%
Q2 2010-0.1%
Q1 2009+2.3%
Q1 2010+0.0%
Q4 2007-0.2%
Q4 2009-0.2%
Q3 2009+5.4%
Q3 2008+5.4%
Q4 2008-5.0%
Q2 2008-5.0%
Q2 2009-5.0%

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